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We have a a '3' in HK, a '3' in UK..

Do I see a '2' across the pond..?

...anyone

Stocks go into *backwardation when in auction, the bid becomes the offer and vice versa.

*not a made up word, honest..although I did think there was an 'S' in there somewhere but apparently not..

Lowering rates allows greater discretionary spending, the other lesser known benefit is by reducing yields on interest bearing securities it forces money into the market, something that may stir UK pension funds out of their obsession with bonds.

Unlikely to happen overnight but the seed has been sown..

What happened to Ai picking stocks and predicting market events...er..no, not this time but maybe next time..

Those hedge funds (Marshall Wace) and others with a heavily long US portfolio will feel this hard, Ulta Beauty back to 2021 levels (as an example).

Good volume NASDAQ and HK, could be shorts using the global meltdown to cover, either way its green across the pond..

That last RNS, isn't that the bidder ?

https://sidaracollaborative.com/news/Dar-Group-becomes-Sidara

Treasurys surge as traders bet on emergency Fed rate cut

(Bloomberg) — Bond traders are piling into bets that the US economy is on the verge of deteriorating so quickly that the Federal Reserve will need to start easing monetary policy aggressively — potentially before their next scheduled meeting — to head off a recession.

https://finance.yahoo.com/news/bond-traders-bet-big-fed-190000721.html

Michael Bordenaro has a YouTube channel, offers some good insight.

Already talk of emergency rates cuts in the US before next fed meeting, US is in really bad shape with essentially a two tier economy - up until now that is..

Li Ka-shing’s HutchMed sets up first drugs research facility in Hong Kong

Research facility at the Hong Kong Science and Technology Park will conduct drug discovery in collaboration with university medical schools

https://www.scmp.com/business/companies/article/3273002/li-ka-shings-hutchmed-sets-first-drugs-research-facility-hong-kong?module=top_story&pgtype=section

Here are the requirements from FCA hand book appertaining to a transfer into ESCC category.

UKLR 22.1 Application

UKLR 22.1.1R 29/07/2024

https://www.handbook.fca.org.uk/handbook/UKLR/22/1.html

Hopefully get a response back from FCA as lodged couple of questions on this subject.

Agreed, their note did read a little conservative in some areas although perhaps not a bad thing, 'under promise, over deliver' ?

Headline numbers for comparison look poor but that a given with the previous cash injection from Takeda agreement, underlying is looking strong with a slight road bump for SHPL post COVID sales.

They are still prioritising pipeline commercialisation over R & D which gave a corresponding drop in costs, not sure how this pans out into 2025 although J mentioned from the call these would increase somewhat.

We should start to see lower interest rates over the next few months which tends to favour growth stocks, long term hold for me.

This is what happens when bubbles burst, Japans stock market dropped just under 6% in one session.

I would expect more than one fed rate cut this year, why they let things get so bad is beyond me.

Thanks saigonsally, good timing for the weekend.

Big jump in US unemployment, something that has been known for quite sometime and ironically good for markets once shock has subsided.

Job growth totals 114,000 in July, much less than expected, as unemployment rate rises to 4.3%

https://www.cnbc.com/2024/08/02/job-growth-totals-114000-in-july-much-less-than-expected-as-unemployment-rate-rises-to-4point3percent.html

This is what they are struggling with almost 17,000,000 short on HK exchange, equates to £50m or so sterling.

Some of this will be market making no doubt, but there's also UK and NASDAQ short positions to consider all taken out on an incredibly liquid stock.

https://www.sfc.hk/-/media/EN/pdf/spr/2024/07/19/Short_Position_Reporting_Aggregated_Data_Eng_20240719.pdf?rev=1821b664d67f44c795c77872492250e5

How markets change, Dow selling off big time on err..something or other to the tune of 750 points, FTSE futures flat.

I think most would agree we are at peak inflation/rates, now to wade through the lag of impact of higher rates, going to take a while to unwind imo.

On the one hand markets welcome a drop in interest rates for cheaper cash borrowing, lower mortgage payments and so on..

..on the other, its a gigantic signal that things have slowed so much we have to lower interest rates to get things moving again.

There is a slew of data which suggests US is in far, far worse condition than headline numbers portray, for instance many properties in New York have dropped by 50% but these are not reflected in overall numbers.

Job creation is high but many are taking on second jobs just to make ends meet..

..icing on the cake is Japan announcing an increase in their base rate to protect weak yen..

There's a huge amount of detail in that release, spent a few hours last night going through but difficult to summarise with so avenues of development.

Overall tone is a lot more confident with very encouraging figures overall, R & D was down by some margin but note from your comments this is set to increase.

Looking forward to Cavendish note for confirmation on a few areas.